U.S. Secures Continued Tariff-Free Access to Colombian Market

NMPF efforts with the U.S. Dairy Export Council against a meritless Colombian investigation into milk power efforts paid off with a Dec. 30 Colombian government decision to terminate an ongoing case and not impose tariffs 

The Colombian Ministry of Commerce, Industry and Tourism decision to dismiss a Subsidies and Countervailing Measures investigation on milk powder imports from the United States due to lack of merit came after extensive U.S. government collaboration with NMPF, USDEC and their members in successfully rebut Colombia’s allegations.  

NMPF and USDEC coordinated a multi-faceted response to the case, which was launched in 2024. It alleged, without factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. NMPF and USDEC demonstrated that the Colombian government’s methodology was flawed, that assumed benefits to the U.S. dairy industry were miscalculated, and that no evidence of harm to Colombia’s domestic dairy sector could be substantiated. 

“The U.S. dairy industry secured hard-won access to the Colombian market more than a decade ago, and as of this year tariffs have now fully phased out,” said Gregg Doud, president and CEO of NMPF, in a statement after the decision. “Attempts to restrict U.S. access through bogus claims and misused trade tools set a dangerous precedent not only for dairy exports but for all U.S. trade. We commend the U.S. government and our members for working with us to coordinate a strong, credible defense and to send a clear message that efforts to evade trade agreement commitments will not be tolerated.” 

NMPF and USDEC Executive Vice President Jaime Castaneda testified on behalf of the U.S. dairy industry at an October 2024 hearing, clarifying how USDA programs work to refute the unfounded claims by Colombian producers. Colombia initially imposed preliminary countervailing duties of 4.86% on U.S. milk powder imports but chose not to extend them when the temporary measures expired in January 2025, following the sustained campaign coordinated by NMPF and USDEC.  

U.S. dairy exports to Colombia exceeded $128 million in 2024. Tariffs on U.S. dairy products were fully eliminated at the beginning of 2026 under the U.S.-Colombia Free Trade Agreement, which NMPF and USDEC worked with the U.S. government to secure in 2012. 

DMC Margin Drifts Toward Payments

The November margin under the Dairy Margin Coverage Program fell to $10.04/cwt in November, another month of decline, as margins neared the $9.50 trigger level for payments at the maximum level of coverage.

The November decline was driven by a $0.18/cwt rise in the DMC feed cost formula and a $0.30/cwt drop in the all-milk price over the month. At the end of the year, the DMC Decision Tool on the USDA website predicted the December margin would be $9.19/cwt, which would generate a $0.31/cwt payment for $9.50/cwt coverage should that occur. That would be the only DMC payment for 2025.

DMC margins declined in September and October, according to USDA data released after the recent government shutdown, were $10.87/cwt and $10.52/cwt, respectively.

Jonker Shares Importance of Animal Health Funding

Chief Science Officer Jamie Jonker participated in three virtual listening sessions Dec. 9-11 hosted by USDA’s Animal and Plant Health Inspection Service to share NMPF’s stance on upcoming animal health funding needs.

APHIS is advancing animal disease preparedness and response through its Farm Bill animal health programs and increasing its budget to $233 million annually beginning in 2026. This includes:

  • $153 million per year for the National Animal Vaccine and Veterinary Countermeasures Bank;
  • $70 million per year for the National Animal Disease Preparedness and Response Program; and
  • $10 million per year for the National Animal Health Laboratory Network.

During the stakeholder listening sessions, NMPF shared the importance of using the increased NAVVCB funding to expand antigen and vaccine stockpiles to ensure rapid deployment during an outbreak, using the NADPRP funding to expand biosecurity and animal disease outbreak resources, and using NAHLN funding to expand laboratory capacity, enhance diagnostic technology, and strengthen IT systems for faster data sharing.

NMPF Leads Charge to Prioritize Dairy in 2026 USMCA Review

As preparations continue for the 2026 review of the U.S.-Mexico-Canada Agreement (USMCA), NMPF and the U.S. Dairy Export Council are advancing a coordinated strategy to ensure the agreement delivers on its promises to U.S. dairy producers.

NMPF Executive Vice President for Trade Policy and Global Affairs Shawna Morris testified before the Office of the U.S. Trade Representative at a Dec. 3 hearing, to highlight the trade pact’s importance for U.S. dairy producers and emphasize the need for the administration to address violations of USMCA dairy commitments. Morris detailed how Canada continues to manipulate dairy tariff-rate quotas and offload surplus nonfat milk solids into global markets at artificially low prices. She also pointed to Mexico’s failure to implement USMCA protections for common cheese names like “feta.”

Congress reinforced the message the same day, as a bipartisan group of 74 House members sent a letter to U.S. Trade Representative Jamieson Greer urging the administration to address unresolved dairy issues in the USMCA review. Developed with support from NMPF, USDEC, and dairy stakeholders, the letter calls out Canada’s unfair import restrictions and global dumping practices, while pressing for full implementation of Mexico’s commitments on common cheese names.

NMPF and USDEC also took their case directly to Capitol Hill. NMPF Trade Policy Director Tony Rice participated in a pair of briefings for House Ways and Means and Senate Finance Committee staff on Dec. 9 and 10 as part of the new U.S. Agriculture Coalition for USMCA. Rice emphasized the importance of targeted improvements to the agreement, noting that 44 percent of U.S. dairy exports by value went to Mexico and Canada last year.

The progress builds on sustained engagement by NMPF and USDEC, including joint written comments submitted Oct. 31, an Aug. 5 appearance before the U.S. International Trade Commission, and multiple filings tied to the Commission’s investigation into nonfat milk solids competitiveness that will inform the administration’s approach to address Canada’s offloading of dairy proteins.

All together, these efforts reflect NMPF’s ongoing push to ensure the USMCA review strengthens the agreement, holds U.S. trading partners accountable, and delivers fair market access for American dairy producers.

Whole Milk in Schools Becoming Law, and Dairy Celebrates

Years of legislative effort ended with victory for schoolchildren, dairy farmers and their cooperatives as Congress passed and a presidential signature is imminent for the Whole Milk for Healthy Kids Act, a landmark restoration of choice in school meals.

The legislation gives schools the option of serving whole and 2% milk varieties in federally funded programs, returning fuller-fat varieties that had been left out of lunches since federal rules in 2012 pushed them out. Overwhelming congressional support, backed by newer nutrition science and pro-milk public sentiment, made legislation once considered aspirational a reality for dairy.

“It’s hard to overstate the significance of congressional passage of the Whole Milk for Healthy Kids Act, not only because it represents major progress in improving the nourishment of American schoolkids, but also because of what it says about how persistent, long-term effort can still bring bipartisan success in Congress,” NMPF President & CEO Gregg Doud said in a statement.

“Since 2012, when federal nutrition rules took whole and 2% milk out of school meals programs, dairy farmers and their cooperatives have pointed out the flaws in that decision, which wasn’t aligned with consumer choice. What was true then became even more true in years to come, as newer research consistently showed the value of milk at all fat levels and consumers moved even further toward fuller-fat varieties in their purchases.

“And now the day has arrived. We thank Chairman Glenn “GT” Thompson of Pennsylvania and Representative Kim Schrier of Washington for their critical roles in championing the most recent version of this important legislation to the finish line and the many other congressional leaders who preceded them in their efforts to protect access to nutritious milk in schools. Dairy doesn’t succeed without tireless advocates on Capitol Hill, and it’s been an honor to work with these members and their staff in this effort.

NMPF led the way in congressional lobbying, with Executive Vice President Paul Bleiberg’s efforts singled out in Senate and House floor speeches backing the measure. NMPF has approached the issue on multiple fronts. From working with senators and House members to meeting with USDA to filing regulatory comments, NMPF worked to successfully reinstate 1% flavored milk in school meal programs in 2022, setting the stage for further advances in whole milk.

The legislative lift complete, the next step will be USDA implementation, as dairy cooperatives prepare to supply schools with whole milk. NMPF will be monitoring developments closely and keeping members in the loop as whole and 2% milk returns to school meals. Meanwhile, the organization eagerly implements the announcement of new Dietary Guidelines for Americans, which also is expected to support dairy at all fat levels.

U.S. Secures Continued Tariff-Free Access to Colombian Market

The National Milk Producers Federation and U.S. Dairy Export Council welcomed the Colombian government’s decision to dismiss a Subsidies and Countervailing Measures investigation on milk powder imports from the United States due to lack of merit. The organizations expressed deep appreciation to the U.S. government for its collaboration with NMPF, USDEC and their members in successfully rebutting Colombia’s allegations.

NMPF and USDEC coordinated a multi-faceted response to the case, which was launched in 2024 and alleged, without factual basis, that U.S. milk powders were unfairly subsidized and harmed Colombian dairy producers. Working closely with U.S. government officials, member companies and cooperatives, and Colombian industry partners, NMPF and USDEC demonstrated that the Colombian government’s methodology was flawed, that assumed benefits to the U.S. dairy industry were miscalculated, and that no evidence of harm to Colombia’s domestic dairy sector could be substantiated.

“The U.S. dairy industry secured hard-won access to the Colombian market more than a decade ago, and as of this year tariffs have now fully phased out,” said Gregg Doud, president and CEO of NMPF. “Attempts to restrict U.S. access through bogus claims and misused trade tools set a dangerous precedent not only for dairy exports but for all U.S. trade. We commend the U.S. government and our members for working with us to coordinate a strong, credible defense and to send a clear message that efforts to evade trade agreement commitments will not be tolerated.”

“U.S. dairy producers and processors expect our trading partners to honor their market access commitments,” said Krysta Harden, president and CEO of USDEC. “USDEC thanks the U.S. government in Washington and Bogota, as well as our members, for their support in presenting overwhelming evidence to rebut Colombia’s politically driven investigation. We welcome Colombia’s decision to abandon the case and maintain zero-tariff access for U.S. dairy exports in this important market.”

Jaime Castaneda, executive vice president for policy development and strategy for NMPF and USDEC, testified on behalf of the U.S. dairy industry at an October 2024 hearing, clarifying how USDA programs work to refute the unfounded claims by Colombian producers. Colombia initially imposed preliminary countervailing duties of 4.86% on U.S. milk powder imports but chose not to extend them when the temporary measures expired in January 2025, following the sustained campaign coordinated by NMPF and USDEC.

The Colombian Ministry of Commerce, Industry and Tourism formally terminated the investigation on Dec. 30, 2025, determining that no additional tariffs were warranted.

U.S. dairy exports to Colombia exceeded $128 million in 2024. Tariffs on U.S. dairy products were fully eliminated at the beginning of 2026 under the U.S.-Colombia Free Trade Agreement, which NMPF and USDEC worked with the U.S. government to secure in 2012.

Whole Milk Win Points the Way Forward

What a great way to end a year — and begin a new one.

It’s hard to overstate the importance of the Whole Milk for Healthy Kids Act, which is now law, not only because it represents major progress in improving the nourishment of American schoolkids, but because of what it says about the moment that dairy is experiencing, and the great opportunities this industry has to build on that momentum.

Just as much as $11 billion in new plant investment the industry is now experiencing, this legislation’s passage tells the story of how dairy has reasserted itself as essential to the American diet, after that position was seemingly threatened merely a dozen years ago. When whole milk was restricted from school menus in 2012, it was billed as a health measure — in that telling, milk had too much saturated fat, and too many calories, to be acceptable in anything other than 1% or skim forms. The types of milk Americans drank most at the time — whole and 2% milkfat — were rendered suspect in the eyes of the federal government, a move with significant implications for federal programs and the next generation of milk-drinkers.

The Whole Milk for Healthy Kids Act, an effort led in the House by Rep. GT Thompson since 2019, frankly, was considered “aspirational” for several years — a nice idea, but not one with much hope of becoming reality. Demonization of dairy was rampant in media, and plant-based beverages were the next big thing, with sales and market share rising. It would have been easy at that time to have despaired for the industry, which also was going through a period of low prices and intensified consolidation.

But dairy farmers had a product they believed in. And in retrospect, from “almonds don’t lactate” statements at FDA to falling sales in some plant-based beverage categories, cracks were showing in the “Death of Dairy” armor.

The COVID-19 pandemic was the inflection point, as consumers increasingly sought tried-and-true nutrition options and became better educated about dairy’s value — as a result, they began buying noticeably more of it. Cottage cheese became a Gen Z craze that spread. Whey protein became the go-to energy supplement. Even as schools restricted options, the percentage of milk bought at retail that was whole or 2% increased. Plant-based beverage sales peaked in 2021 and have been declining since. Fluid milk sales reversed decades of decline, increasing in 2023.

Just as importantly, science began to more convincingly support what we knew all along — dairy fats don’t deserve demonization, and in fact have nutritional values we didn’t fully understand earlier. As fat concerns were shown to be overblown, it wasn’t just parents who endorsed dairy — it was leading nutritionists. And with marketplace and scientific consensus in alignment, Congress began to notice. Whole milk legislation moved from dream to no-brainer; in 2023 it became an overwhelmingly bipartisan reality in the House of Representatives, which easily passed GT Thompson’s bill. It would have passed the Senate too, were it not for concerns that Congress was outrunning the dietary guidelines, which was still looking backward at the science. We went to work on overcoming that concern, both in congressional advocacy and in reinforcing the newer finding on whole milk benefits.

And here we are today.

A successful effort such as this doesn’t come without a lot of work from a lot of people. Without consumer demand, political popularity doesn’t happen. Without scientists, the reassurance of skeptics that whole milk really should be back in schools doesn’t happen. Without the leadership in Congress, beginning with GT Thompson and co-sponsor Rep. Kim Schrier, as well as Senate sponsors Sens. Roger Marshall and Peter Welch, the bill doesn’t get the congressional attention needed to move forward. And without the united strength of dairy advocates, including company, state-level and association lobbyists, this issue doesn’t get in front of enough lawmaker desks to break through.

But I would like to single out one person for special recognition as this critical legislation is poised for passage. Paul Bleiberg, our Executive Vice President for Government Relations, fought for this legislation every stop of the way. From his early conversations with Thompson staff to his efforts to keep the legislation on the agenda, Paul has known how to harness public sentiment for effective advocacy and show leadership across the entire policy community to make the legislation got over the finish line. Paul deserves special recognition for efforts that will meaningfully improve the nutrition of children and the benefits that dairy farmers can provide. That’s a unique accomplishment, and Paul deserves all recognition he may receive.

Working for dairy is what we do. But it’s not just that. We work for dairy so that dairy can work for everyone. Restoring whole milk in schools helps dairy farmers better nourish a nation. That’s no small thing. It takes years.

Yes, there are frustrations — with the government, with prices, with all the challenges and inadequacies of living and working in challenging times, every day. But let’s not pass up the moment to celebrate, recognize and appreciate. Thank you to Paul, to the dairy community, to congressional leaders, and to consumers. We’re making a better world, and that doesn’t happen without you. Happy New Year.


Gregg Doud

President & CEO, NMPF

 

USMCA: An opportunity dairy can’t miss

By Shawna Morris, Executive Vice President, Trade Policy & Global Affairs

The first mandatory review of the U.S.-Mexico-Canada Agreement (USMCA) will take place in 2026, bringing all three countries together to evaluate the agreement’s first five years and consider changes. For U.S. dairy producers, this review is a critical opportunity to finally secure the gains promised under USMCA.

When USMCA was implemented in 2020, it was expected to deliver a limited yet important expansion into the Canadian market for U.S. exporters. The deal also established rules to limit Canada’s offloading of artificially low-priced dairy ingredients into global markets and to safeguard the ability of U.S. producers to use common names like “Parmesan” in Mexico. Five years in, there are still shortfalls in each of these key areas.

Canada’s TRQ manipulation and export loopholes

From day one, Canada has repeatedly violated its obligations through its tariff-rate quota (TRQ) allocations, which are designed to allow U.S. producers to export a certain quantity of a product tariff-free. However, Canada has manipulated the system by giving the vast majority of the quota allotments to Canadian processors instead of allowing others throughout the Canadian supply chain a fair shot at securing and filling the quotas. As a result, dairy TRQ fill rates remain chronically low. For example, U.S. dairy exporters have missed out on over 15,000 metric tons of bulk cheese exports over the past five years — and that is just one quota.

Adding insult to injury, Canada has created a new workaround that enables its producers to continue to dump artificially low-priced dairy proteins, which undermines commercially priced U.S. products outside of Canada. National Milk Producers Federation (NMPF) estimates that Canada’s dairy protein exports benefiting from this policy equate to over $740 million of Class IV Skim paid to producers over the last four years.

Mexico’s common name commitments

Mexico is a valued and vital partner. Unfortunately, it has fallen short in one important USMCA area: protection of common cheese names.

Five years into the USMCA agreement, Mexico has failed to implement regulations to ensure that no new barriers arise to the use of common cheese names. This leaves many widely used names like “Feta” and “Parmesan” vulnerable to geographical indication restrictions as the European Union advances its trade deal with Mexico toward implementation.

A coordinated and forceful response

In preparation for next year’s review, the NMPF and the U.S. Dairy Export Council (USDEC) have mounted a coordinated and proactive strategy.

Last week, with robust support from across the U.S. dairy community, 74 members of the House of Representatives urged the U.S. Trade Representative (USTR) to address these issues. To complement that call, NMPF and USDEC testified before USTR on Dec. 3 to outline the importance of ensuring USMCA lives up to its potential.

To tackle Canada’s growing policy-driven dairy exports, NMPF and USDEC also testified and submitted comments to the U.S. International Trade Commission as part of its investigation into U.S. competitiveness in nonfat milk solids — an inquiry launched at USTR’s request following NMPF and USDEC advocacy regarding Canada’s distortions of global dairy markets.

Meanwhile, NMPF, USDEC, and the Consortium for Common Food Names continue to work with the U.S. and Mexican governments to ensure that the use of common names can continued unimpeded in Mexico.

Conclusion

These efforts reflect a broader strategy by NMPF and USDEC, working together with the wider U.S. dairy community, to enter the 2026 USMCA review with a strong, well-documented case for holding trading partners accountable and ensuring that U.S. dairy producers receive the market access and fair competition they were promised.

 


This column originally appeared in Hoard’s Dairyman Intel on Dec. 22, 2025.

Dairy Industry Praises Julie Callahan Confirmation as Chief Agricultural Negotiator

The National Milk Producers Federation, U.S. Dairy Export Council and the Consortium for Common Food Names commended the Senate confirmation of Dr. Julie Callahan to serve as Chief Agricultural Negotiator for the Office of the U.S. Trade Representative.

“Dr. Callahan will be an incredible Chief Agricultural Negotiator,” Gregg Doud, president and CEO of the National Milk Producers Federation, said. “This is a critical position for U.S. agriculture, and Dr. Callahan is the right person for the job. Her work to open new markets and opportunities for U.S. agricultural producers is second to none. U.S. dairy will be greatly served by her skilled hand and her commitment to delivering meaningful, lasting results.”

“Congratulations to Dr. Julie Callahan on her confirmation as Chief Agricultural Negotiator,” Krysta Harden, president and CEO of the U.S. Dairy Export Council, said. “This is an important moment for American agriculture, and her leadership comes at exactly the right time. Dr. Callahan’s deep understanding of global markets and unwavering commitment to America’s farmers and food manufacturers will serve the country well. We look forward to working with her to expand market access, resolve long-standing trade barriers and champion U.S. dairy on the world stage.”

“Dr. Callahan’s confirmation as Chief Agricultural Negotiator marks a truly important moment for American agriculture and for U.S. leadership in global trade,” Jaime Castaneda, executive director of the Consortium for Common Food Names, said. “Few individuals combine the depth of expertise, diplomatic talent, and unshakable commitment to America’s producers that Dr. Callahan brings to this role. She has demonstrated herself as a champion for the rights of American producers to use the common food and beverage terms that global consumers have come to know and love. We look forward to joining her in the fight to preserve and grow global market opportunities for our farmers, ranchers and exporters for generations to come.”

NMPF Celebrates House Passage of the Whole Milk for Healthy Kids Act

From NMPF President & CEO Gregg Doud:

“It’s hard to overstate the significance of congressional passage of the Whole Milk for Healthy Kids Act, not only because it represents major progress in improving the nourishment of American schoolkids, but also because of what it says about how persistent, long-term effort can still bring bipartisan success in Congress.

“Since 2012, when federal nutrition rules took whole and 2% milk out of school meals programs, dairy farmers and their cooperatives have pointed out the flaws in that decision, which wasn’t aligned with consumer choice. What was true then became even more true in years to come, as newer research consistently showed the value of milk at all fat levels and consumers moved even further toward fuller-fat varieties in their purchases.

“And now the day has arrived. We thank Chairman Glenn “GT” Thompson of Pennsylvania and Representative Kim Schrier of Washington for their critical roles in championing the most recent version of this important legislation to the finish line and the many other congressional leaders who preceded them in their efforts to protect access to nutritious milk in schools . Dairy doesn’t succeed without tireless advocates on Capitol Hill, and it’s been an honor to work with these members and their staffs in this effort.

“The next step, after a presidential signature, is implementation. We pledge our fullest support to federal officials and school districts across the nation to help with implementation of this important legislation. Congress made a positive difference today. We are thrilled to be a part of it.”

NMPF’s Galen Closes Career, With a Message

History may not rhyme, but it echoes, and for all the challenges dairy has faced, a few key areas have continued to resurface throughout Chris Galen’s nearly three decades in dairy.

“A lot of what I had worked on at the start of my career, and also now in the last few years of my career at National Milk, has been on milk pricing, in particular federal milk marketing order reforms,” said Galen, NMPF’s longtime communications leader and the current Senior Vice President of Member Services and Governance, in a Dairy Defined podcast. “A lot of what we have to do, has to do with just making certain that farmers are paid fairly.”

Galen reflects on the changes of dairy’s structure in the 21st century, the continued importance of family farms to dairy, and the evolution of media that has made it easier to serve members while getting dairy’s message to a broader audience.